Exercise 15-10 A (Algo) Evaluating a cost center Including flexible budgeting concepts LO 15-3, 15-4, 15-5 Franklin Medical Equipment Company makes a blood pressure measuring kit. Jason Mc Coy is the production manager. The production department's static budget and actual results for Year 3 follow. Production in units Direct materials DirectLabor Variable manufacturing overhead Total variable costs Fixed manufacturing overlead Total manufacturing cest Static Budget 34,000 tits $219, Bee 176, Bee 51,800 238,690 285,000 $64),66e Actual Results 35 900 kits $259,880 188,689 SG, 5se 497.110 199, cea $696,716 Required a. Convert the static budget Into a flexible budget. b. Calculate the variances. Complete this question by entering your answers in the tabs below. Required A Required B Convert the static budget into a flexible budget. Do no: round intermediate calculations.) Flexible Budget Kits Production in units Direct materials Direct labor Variable manufacturing overhead Total variable costs Fixed manufacturing overhead Total manufacturing costs S 0 5 0 HE Results 35.980 its $ 259.88 182.600 Production in unils Direct malerials Direct labor Variable manufacturing overhead Tolal variable cos LS Fixed manufacturing over head Total manufacturing cost static Budget 34, see kits $210, Reg 176, 800 51, eee 438, 680 zes.eee $643, 60e 497, 112 199.de $696.719 Required a. Convert the static budget Into a flexible budget b. Calculate the variances. Complete this question by entering your answers in the tabs below. Required A Calculate the variances. (Indicate the effect of each variance by selecting "F" for favor for no effect (1.e., zero variance).) Variances Direct materials Direct labor Variable manufacturing overhead Total variable costs Fixed manufacturing overhead Total manufacturing costs